(tapping fingers on desk, patiently waiting for an answer...) You'd think that in this type of market there would be a stampede into gold. JP Morgan manipulating the price again?
This is just my personal take, the risk with all other markets is so large that the US bonds, EURODOLLARS and cash seem to be the only safe haven...Bitcoin also down big... Another point is that perhaps some large traders had to liquidate gold positions to meet margin calls on equities and energies? Definitely not "normal times" .
Apparently, bullion banks have the right to print as many futures gold contracts as they want, even if it isn't backed by anything. And the idea is that if gold goes too high, some of them will go under. So there is a lot of pressure to keep gold futures down, at the very least.
Also, gold is used to satisfy margin calls. So, double selling pressure. Once selling pressure on stocks abates, you could see gold spike. I don't know any of this for sure, just what I've heard on twatter.
People have not lost confidence in CB's and governments. Even padu is looking for a quick end or a V recovery. The liquidation for margin calls has a ring of truth too!
I've seen this kind of thing before... not that this will will be like other, of course. Initially, gold bumps up as the market starts to decline. Then, gold "goes down less than the market".... resisting the decline. Then, gold capitulates to the downside. Perhaps it becomes a matter of "if you can't sell what you want (out of your portfolio), you sell what you can". Historically it has not been, "gold soars while market declines".. though it seems it should be that way. Long time players likely recognize this and is the reason they are not "stampeding into gold".